Saxo Market Call Podcast - 2026 Forecasts
Overview
The podcast episode discusses forecasts for the year 2026, covering various aspects of the economy, global equity markets, interest rates, foreign exchange (FX), and significant geopolitical issues that could impact these forecasts. The hosts emphasize the uncertainty surrounding these predictions and present a sample portfolio for 2026 as a discussion point rather than a definitive investment recommendation.
Sample Portfolio for 2026
The proposed portfolio is designed with multiple scenarios in mind, acknowledging the unpredictability of market conditions. Key allocations include:
- Cash Allocation: High cash allocation due to concerns about overvaluation in the US equity market, particularly among large-cap stocks.
- Equity Allocations:
- 10% in Europe
- 10% in Japan, with expectations for a stronger Japanese Yen
- 10% in Emerging Markets, anticipating a weaker US dollar.
- Bonds: 15% allocation to long-duration bonds via the TLT ETF, with the assumption that rate volatility will be contained.
- Cryptocurrency: 10% allocation, reflecting potential upside in various economic scenarios, including credit chaos or significant Fed easing.
- Precious Metals: A cautious approach to gold, with a heavier allocation to silver.
The podcast also discusses a two-phased strategy for potentially converting cash into US equities based on volatility index (VIX) triggers.
Market Highlights
As the year draws to a close, the podcast highlights Western Digital as the strongest stock in the S&P 500, with a remarkable 294% year-to-date increase. The discussion reflects on the cyclical nature of stocks and speculates on which sectors might lead the market in 2026, suggesting possibilities in technology, biotech, energy, or even nuclear energy.
Conclusion
The podcast encourages listeners to consider the presented portfolio as a starting point for discussions about investment strategies for 2026. The hosts invite feedback and questions from the audience to enhance future episodes.